Forefront Dermatology goes national

MANITOWOC – The name of his home state will fade away on the signage at some three dozen clinics but Dr. Ken Katz says his commitment to Manitowoc County is steadfast.

Dermatology Associates of Wisconsin is the moniker at clinics across Wisconsin, including on the city's east side on Randolph Court, and on the downtown 5-story central services building on York Street.

The two Lakeshore area locations employ some 175 between them including nurses, laboratory technicians, dermatopathologists, computer engineers, billers and schedulers who answer thousands of calls daily.

But with clinic expansion already into Iowa, Indiana and Michigan, "Wisconsin" is not on signage in those states but "Forefront Dermatology."

Katz is president and founder of both Dermatology Associates of Wisconsin and Forefront Dermatology. He anticipates future expansion from the present 41 clinics to between 75 and 100 over the next couple years in those states – as well as Ohio and Kentucky, and, perhaps, others.

While Wisconsin will be dropped and all clinics operated under the Forefront Dermatology name, including those in the Badger state, the Roncalli High School and University of Wisconsin School of Medicine graduate said Manitowoc is still personal and professional home and headquarters.

In fact, there are several job openings in Manitowoc to swell the total workforce across the Midwest – including 62 physicians and mid-level personnel and some 400 ancillary personnel – even higher.

Katz said there are only 22 cubicles left in the downtown central services building. He said if expansion, through new clinics or acquisitions, in Wisconsin and outside the state occurs as expected with accompanying need for more ancillary personnel, "we will be out of space by spring.

"We've talked about whether we will build a second tower or lease vacant buildings in the city of Manitowoc," Katz said.

What will help fuel expansion, Katz said, is a change in ownership structure. He and a handful of partners will own Forefront Dermatology Service Corporation including the services and revenue of physicians, physician assistants, and laboratory.

He said the investment banking firm Goldman Sachs along with Varsity Healthcare Partners have become the majority owners of Forefront Management Holdings including clinic personnel, laboratory staff and other employees.

"We are extremely excited to partner with Dr. Kenneth Katz and the other DAW physicians to build upon what is already an excellent dermatology platform, both clinically and operationally, and to further expand the geographic reach of DAW," said Kenton Rosenberry, a partner with VHP.

"Having spent a significant amount of time evaluating numerous platforms in the dermatology industry, we believe that DAW represents a clear leader in the market. Under the direction of Dr. Katz, DAW has invested heavily in clinical, operational and IT infrastructure, to create an enviable work environment for its physicians and to deliver excellent patient care and satisfaction," Rosenberry stated in a VHP news release.

It also stated the new entity will provide "growth capital and managerial infrastructure to facilitate an aggressive acquisition and growth plan."

Katz said he and his partners will no longer be "on the hook" for borrowing large sums to finance capital expenditures, including future clinic acquisitions and construction.

He said he and his partners also "got an amazing offer from a real estate investment firm" that has purchased 10 buildings, including the downtown central services building. "We have 10-year leases in all of the building ... they'd like us to lease them forever."

What hasn't changed is the commitment to providing patients in all states the highest quality medical care, personable physicians and other health care professionals, and easy access with no long wait for an appointment.

Even though his executive managerial responsibilities take up most of his professional life, Katz said he continues to see patients. In particular he does Mohs surgery, advanced removal of skin cancers, several days a month.

He said he sees patients at the Sturgeon Bay clinic who tend to be elderly but don't have to drive to Manitowoc for the surgery that can lead to peace of mind.

Online: www.dermwisconsin.com, www.forefrontdermatology.com

Charlie Mathews: (920) 686-2969 or cmathews@htrnews.com

Forefront Dermatology will be the name for all clinics, not just those outside Wisconsin.(Photo: Submitted)